Dollar gains slightly in Asia

TOKYO: The dollar gained slightly in Asia on Friday as investors cautiously adjusted their positions following the unit's recent surge.

The US currency was at 102.27 yen in early Asian trade against 102.22 yen in New York late Thursday.

The euro bought $1.2868 and 131.57 yen against $1.2886 and 131.72 yen in US trade.

In early Tokyo trade, the dollar briefly fell near the 102-yen mark but had rebounded by late morning.

Support for the dollar was firm as there were plenty of players, including importers, willing to buy on dips amid the recent rally, brokers said.

Any falls toward the 101 level could present "a perfect opportunity for those who have missed on chances to buy the dollar", Marito Ueda, senior managing director at FX Prime Corp. told Dow Jones Newswires.

However, investors were adjusting their positions as players were "not fully confident about the strength of the US economy" following a string of weaker-than-expected US data on Thursday, he said.

The Japanese yen has plunged against the dollar with the government pushing for active spending and the Bank of Japan carrying out massive monetary easing, which tends to weigh on the currency.

The euro was also weaker on concerns about France's recession, but any significant moves lower were expected to be capped, said ASB Head of FX institutional sales NZ Tim Kelleher.

The market was now focused on US Federal Reserve Chairman Ben Bernanke's speech next week, dealers said.